this is bbc world news, the headlines. angela merkel is set to serve a fourth term in office following the german general election. both main parties lost significant support and the anti—immigrant afd looks like becoming the country's third largest party. president trump's administration is imposing new travel restrictions on eight countries, including for the first time north korea, venezuela and chad. it's the third update on a ban that has been much contested in court. polls have opened in kurdish areas of northern iraq in a referendum on independence, despite international pressure to call off the vote. the iraqi government, turkey and iran have warned the vote could bring chaos to the region. the leader of the small new zealand first party, winston peters, says he won't be rushed into a deal to form the country's next government. the veteran politician emerged as kingmaker after a stalemate result in the general election.

now it's time for world business report. merkel comes out on top in germany's elections — but europe's biggest economy will have to weather months of uncertainty as coalition talks loom. stepping into orbit. australia's government says its launching a space agency so it can compete in a $300bn plus industry. welcome to world business report. i'm sally bundock. also in the programme, how is uber

negotiating with london and london's mayor? as you've been hearing germany's elections have delivered a fourth term in office for chancellor angela merkel. but the outcome is one that most economies dread — uncertainty, and that's because despite coming out on top. support for both mrs merkel‘s conservative cdu party and her coalition partners, the social democrats, has fallen. it all means europe's largest economy could face months of painful coalition negotations and that has led the euro to fall in asian trading. but the economic picture going into the election was pretty healthy. the latest figures show annualised economic growth ofjust over 2% — that's after the 0.6% expansion in the three months to the end ofjune. and despite the huge influx of migrants which are thought to have cost mrs merkel votes, unemployment in august was 5.7% —

well below the eurozone average and also germany's lowest since the berlin wall fell in 1989. and the public finances are in decent health too. the national debt fell nearly 3% in the first half of this year to just under $71.5 billion. that does give mrs merkel some wiggle room in that she can afford to offer potential coalition partners some of the policies they want in order to support her. but that will have to be balanced with the financial needs of an ageing population, wealth inequality and decreased social mobility. that's something mrs merkel recognised in her victory speech. we know that if we send the signal is now, it is also going to be the case in five or ten years time. this includes economic prosperity. that

means to say that we need to work for a free and just contrary. that means that we need to bring together all of the european union countries, that we need to fight against the forces of migration and we need to find legal ways in order to fight against illegal immigration. the topic of security is a worry and concern for people, just as much as economic prosperity. nina trentmann is a german journalist with the wall street journal newspaper who is based here in london. iam sure i am sure you are keenly watching it, give us your take? it has been closely watched in germany. it is something which is not as good as we expected in the beginning, the results for angela merkel were wea ker results for angela merkel were weaker than expect it. we have very interesting coalition talks ahead of us. interesting coalition talks ahead of us. it is a testing ground for whether angela merkel can strike a coalition with the liberal democrats

and the greens, which has been tried out on a state level in germany in several states. on a national level, it brings many more questions. there are more topics dealt with on that level. as we've mentioned, the economy is in fairly good shape. but she was talking in her speech about the fact that people are concerned about the economic outlook. what are the key issues for people in germany in terms of the economy? everytime i go back to germany, i am astonished by how wealthy people are and how good life is. there is fear that that could change in the people are losing their well. despite the fact that unemployment is low, we have quite a number of good results in

industries coming through, but there is concern that this could change and we see that there are jobs in not so stable conditions. that is increasing and people are a bit worried. the world around them is changing a lot with the brexit happening here in the uk. there is a bit of a feeling of concern and a sort of, things could change. bit of a feeling of concern and a sort of, things could changem bit of a feeling of concern and a sort of, things could change. it is difficult to know what this outcome means, we don't know what the economic policy is for deutschland or what the coalition is going to look like. there are big uncertainties for brexit as well. it is hard to know what this all means for germany. we have spent a couple of weeks debating and talking about it, it means that these talks, she has two secure a stable authority. she has two square some sort of

circle, although these parties have moved closer together, they are not so close to each other. it will be a challenging thing for her to be doing. she is going to be dramatic as she has been in the past. she has beenin as she has been in the past. she has been in the past. thank you for coming in. and you can get more details on the german election results and mrs merkel‘s coalition options on the bbc news website or through the bbc news app for your smartphone — which you can download now from your app store. the global space industry is thought to be worth more than $320 billion. and australia's government says it wants a piece of the action. that's why it's set to announce plans for its own space agency as the country hosts a big space conference. this agency will be the anchor for our domestic co—ordination and the front doorfor our our domestic co—ordination and the front door for our international engagement with so many of us among the world's space agencies. i am confident that without unique geography, south australia will be at the forefront of an increased australian engagement in space

industries. our correspondent hywel griffith is in sydney. every government would love to have a bit of the action when it comes to the business of space. it means lots ofjobs, but a lot of investment? absolutely. we are in the teeth of an international space race. it is all geared around new technology smaller than a satellite. it makes it cheaper for companies to have a presence in space. talking about companies needing some kind of gateway or planned to get it together and compete. south australia wants to be at the centre of that. they have got a rocket launch centre, so we could see missions launched from there. they say they are ready to go. australia has been behind others, not least the neighbours such as new zealand, in terms of having an international agency. it wants to go where other

countries have gone before and have an independent organisation. what has the reaction been to this news? for many, it is a really tough time and they may think the government should be investing elsewhere? the argument put forward by the government is that the growth in spaceis government is that the growth in space is about three times ahead of economic growth. if you want to bring morejobs economic growth. if you want to bring more jobs and economic growth. if you want to bring morejobs and prosperity economic growth. if you want to bring more jobs and prosperity to australia, space is the place to aim for. that is the tone of the argument. domestically, people want to catch up with their neighbours. new zealand has seen a lot of focus with the launch of a test missile from a rocket in australia. people are generally keen for this to happen, as long as not to many of their tax dollars are spent. in other news: the united states has expanded its controversial travel ban to include visitors from north korea, venezuela and chad. president trump said his top priority was making america safe. it's the third update on a ban that

has triggered fierce legal battles over immigration and discrimination. for the first time the list includes countries that are not majority—muslim. more than 700,000 people have now signed a petition calling for the ride hailing app uber not to lose its licence in london. meanwhile, london's mayor sadiq khan has told the bbc it's difficult to see how discussions with uber can be held at all given its aggressive stance over threatened legal action. the company says its keen to talk after the authorities said it's licence to operate would not be renewed because of concerns about public safety and security. we can't show you the numbers, but at the last look, japan was up half at the last look, japan was up half a percent. japan is the focus because shinzo abe is expected to call a snap election today, something we are keeping a very

close eye on. as soon as there is an announcement, we will take you. a decision to exclude a vote on brexit at the labour conference has caused tensions within the party this weekend. prominent members of the party have called on the leadership to commit to staying in the single market. the nec is expected to make a statement later today. iain watson reports from brighton. labour said they are the grown—ups when it comes to brexit, and they won't squabble like the government. but as the policy develops, it shows signs of growing pains. transport policy commission report, all those in favour? delegates decided which topics to debate at the conference this week. redford was not among them. there won't be a vote on an

issue some delegates were keen to discuss, long—term membership of the eu single market beyond brexit. with the task of keeping all voters happy, the party leadership was a lwa ys happy, the party leadership was always wary of doing so. pro—eu mps are blaming momentum, campaign groups accuse jeremy are blaming momentum, campaign groups accusejeremy corbyn of blocking the issue. i think a lot of people are angry, frustrated, puzzled by the fact we will not be debating the big issue of the day, the existential threat of higher brexit to life in britain. we will carry on fighting and i'm confident that labour will be asked to do what is in the best interests of the country. even some supporters of jeremy corbyn are not best pleased. to be not discussing the brexit exit is wrong. to defuse the tension,

labour's been drawing up a plan for brexit and members will vote. but it won't commit to the long—term single market. the party leadership will keep its options open. this is bbc news. the latest headlines: angela merkel is set for a fourth term as german chancellor after parliamentary elections — but her party's support dropped dramatically. the right—wing alternative for germany, afd, will win seats in the federal parliament for the first time. the centre—left social democrats had their worst result since 1933. president trump is imposing new travel restrictions on eight countries, including for the first time north korea, venezuela and chad. sudan has been dropped from the original list of six mainly—muslim countries. it's the third update on a ban that

has been much contested in court. the regional government of iraqi kurdistan is going ahead with a referendum on independence later on monday despite international opposition. the move has been fiercely opposed by the iraqi government. turkey and iran have warned the vote could bring chaos to the region. the leader of the small new zealand first party, winston peters, says he will not be rushed into a deal about who will lead the country's next government. both the governing centre—right national party and the labour party say they can form a government. now it is time for our newspaper review. what's making headlines around the world ? we start with the international papers' reaction to angela merkel‘s triumph in the german elections. victory is perhaps a better way of

putting it. french paper le figaro runs that on their front page with the headline "bitter victory". and in the uk, the times are running a spread in their pages focusing on the challenges ahead for merkel when it comes to forming a coalition. it talks about months of talks, painful talks, ahead of her. a lot of people are going to the colours, to colours, as well. over to the middle east, the kurdish president barzani's determination to push on with a kurdistan independence referendum is on the front page of arab news.